China requests WTO panel over Canadian surtax measures

China requests WTO panel over Canadian surtax measures
Trade
Webp 1e8rd48itvrpog8j0e0fe1b72xpt
Yi Xiaozhun Deputy Director-General | World Trade Organization

Canada's request for a panel in the case DS636, titled “China — Additional Import Duties on Certain Agricultural and Fishery Products from Canada,” was removed from the agenda of a recent Dispute Settlement Body (DSB) meeting at Canada's request, as announced by DSB Chair Ambassador Clare Kelly of New Zealand.

In another case, DS627: “Canada — Measures on Certain Products of Chinese Origin,” China requested the establishment of a dispute panel concerning Canadian surtax measures on products such as electric vehicles, steel, aluminum, solar products, critical minerals, semiconductors, permanent magnets, and natural graphite. China claims these measures breach Canada's WTO obligations. Consultations held in April 2025 failed to resolve the issue.

Canada responded that it engaged constructively with China during consultations and is prepared to defend its surtax measures under the General Agreement on Tariffs and Trade. Canada emphasized that no surtax measures exist for certain products mentioned by China and remains committed to dialogue within the multilateral trading system.

The DSB noted these statements and agreed to revisit the matter if requested by any member.

On Appellate Body appointments, Colombia introduced a proposal supported by 130 members to start selection processes for filling vacancies. The United States opposed this proposal due to concerns about WTO dispute settlement practices and called for fundamental reform.

More than 20 members commented on this issue. Some urged others to join the Multi-party interim appeal arrangement (MPIA), with Malaysia and Paraguay recently joining. Colombia expressed regret over repeated failures to launch selection processes for Appellate Body vacancies.

Regarding dispute settlement reform, ongoing consultations were reported following discussions at the General Council meeting on May 20-21.

Status reports were presented by the United States regarding several cases involving anti-dumping measures and copyright issues. The European Union reported on biotech product approvals while Indonesia addressed horticultural importation cases.

The next regular DSB meeting is scheduled for June 23, 2025.